'Plan B' for $15 minimum wage unveiled

[DonViejo]

Source: The Hill


BY ALEXANDER BOLTON - 02/26/21 10:12 AM EST

Senate Finance Committee Chairman Ron Wyden (D-Ore.) on Friday announced Democrats’ “Plan B” to raise the minimum wage after the Senate parliamentarian ruled that an earlier proposal from House Democrats to raise the federal minimum wage $15 an hour did not meet special budgetary rules.

Wyden is proposing a work-around solution that would impose a five-percent tax penalty on large corporations if any of their workers earn less than a certain amount, with the penalty increasing over time.

The language would ensure that large companies would have a significant financial incentive to raise wages, even if they are not mandated by law to pay employees more than the current federal minimum wage of $7.25 an hour.

“As chair of the Finance Committee, I’ve been working on a ‘plan B’ that would make big companies pay for mistreating their workers. My plan would impose a 5 percent penalty on a big corporations’ total payroll if any workers earn less than a certain amount. That penalty would increase over time,” Wyden said in a statement.

Read more: https://thehill.com/homenews/senate/540668-plan-b-for-15-minimum-wage-unveiled

[Irish_Dem]

1. Will the penalty be cheaper than paying the $15?

[mopinko]

9. i doubt it.

nobody has nothing but minimum wage employees. even micky d's doesnt pay minimum to everyone. most of them dont pay it to anyone, at least in blue-world.

[Irish_Dem]

12. Corporations will just pay a penalty or lawsuit costs rather that follow the law or do what is right

[mopinko]

13. some will.

i dont think many will want that kind of pr. and they'll have a hell of a time hiring if they are clinging to shitty pay.

[Irish_Dem]

15. Good! These front line service workers saved lives by doing their jobs.

They deserve to be paid a good wage.

[mopinko]

18. they deserve hazard pay.

i cant imagine being the fry guy at mickeys, wearing a mask for 8 hrs.

the ones who refuse to mask up deserve big damn fines.

[Irish_Dem]

25. I agree 100%

I have been getting deliveries from the local grocery store.
They probably saved my life.

[mopinko]

33. w/o grubhub and instacarts, i'd be dead.

w/o amazon, i couldnt keep my farm going.

i do tip well, tho. bth, tho, grubhub maskless wonders drove me nuts. those drivers never, ever read the notes to the drivers. i got into screaming matches w a few of them.

[KPN]

30. THIS. They should also be higher in the vaccination priority list.

[onecaliberal]

26. I have depended on those who deliver groceries. I tip very well, and I make sure they know

how grateful my family is for them.

[Dream Girl]

39. Yep. PR will be a problem.

[cstanleytech]

21. Depends on the cost of raising the workers wages vs the

hit the company will take on the money it earns currently.

[Irish_Dem]

29. Yep. Their accountants will tell them the cheapest way to do things.

[Trueblue1968]

52. JUST LET VP HARRIS OVER-RIDE THE Non Elected Parlemtarian !!!! BE STRONG JOE!!!

[jimfields33]

2. How would the government pay this tax?

I know the GS system at the bottom of the pay scale are paid rather low. Also, state and county workers. I think that needs to be addressed. I’m sure the number is small who work under 15, but one is too many. I did an annual look at 15 dollars. It’s 28,800 a year. Teachers in my county start at 30K so they are covered. But I’m sure the teacher aide and receptionist are lower (I didn’t verify). Just throwing out a possible situation that needs to be addressed.

[TheRealNorth]

4. Well, it sounds like small businesses would be exempt too

Last edited Fri Feb 26, 2021, 02:15 PM - Edit history (1)

So its clearly not going to cover everyone. But I suppose Sanders is thinking getting $15 for some people is going to be better than nothing... and it will put some pressure on small businesses to raise their wages if no one wants to work for them because they pay too little.

[jimfields33]

5. Got it. Thank you.

[bullimiami]

14. exempt except who will want to work at bens burger barn for 10$/hr

when every big chain is paying 15?

they will have to pay to compete.
a fact probably not lost on Bernie but way over Hawleys head.

[cstanleytech]

23. To close that loophole partially the tax should count

workers for franchises as being part of the corporation.
That would discourage companies from trying to shirk their taxes by changing to a franchise model.
Contract and temp workers from temp agencies should be counted as well.

[Cobalt Violet]

3. Since President Joe Manchin won't let us have nice things....

[TheRealNorth]

6. Even if Joe Manchin let us have nice things...

We wouldn't be able to pass the minimum wage hike because the parliamentarian said we can't include it in reconciliation (meaning we would have to have a filibuster-proof majority to pass it).

[mopinko]

11. he's refusing to consider canning the filibuster.

[Demsrule86]

46. And so is Sinema...as well Dianne Feinstein.

[jimfields33]

7. Lol. Repugs are showing interest so maybe it will pass

[Demsrule86]

47. It will not pass. They want to delay the Covid bill. Take it out of the Covid relief bill then you

can waste time courting GOP votes as Obama tried to do in a stand alone bill...but get the Covid bill out before unemployment ends.

[OnlinePoker]

8. The call was for 15 in 15 (2015)

Even then, it wasn't a living wage. With inflation, that would be $16.55 this year. By the time a $15 minimum is mandated, the equivalent will be $17-18, so those earning minimum wage will be no further ahead.

[KPN]

31. Yep, the fast food workers strike was , what, close to 10 years ago now? And

they were calling for $15 an hour back then.

[cstanleytech]

43. Well it should be 23 to 24 an hour to provide equivalent

buying power to what the minimum wage was decades ago.
Unfortunately to many people (mostly Republicans) are to stupid to realize that they are being played by the Republican politicians and their corporate owners to keep wages below the poverty level.

[yaesu]

10. a tRump appointed judge would just say its unconstitutional like they did to the eviction moratorium

[Backseat Driver]

16. Meanwhile, seniors get measly COLA boost to SS

based on some mythical "market basket" and claim I will outlast the program itself. Probably true since the automatic premiums withdrawn for the other program keep rising. However I escaped that purposefully and vengefully "former guy's" 500+K Covid toll so far, and I ascribe that to self-imposed agoraphobia. I guess I can thank robocaller scammers for checking on the elderly. Supposedly, it costs more than this family makes to keep a prisoner in the federal pen to make sure they serve their life sentences. I'm a dead senior walking; no wonder the interviewer laughed when I said I was proud to place my initials on those transcribed medical reports for the living.

[HUAJIAO]

24. I got a whopping $20/MO increase in my SS check...

Whatever should I spend it on.??

[kysrsoze]

17. The plan would still leave millions below the $15/hr, with many still at $7.25. It's a cop-out.

[LymphocyteLover]

20. better than nothing though

[KPN]

35. True, but we've been hearing that far too long. Meanwhile, the country has gone off the rails and

is now planted firmly in or on the "right" (BTW, how come they are the right and we are the left?!).

[Dream Girl]

40. It will put pressure on employers to raise hourly wages due to copetive pressure for workers

[LymphocyteLover]

41. Ideally, yes

[flibbitygiblets]

57. I say it's a start. Get the ball rolling and let it become the norm.

We just need to keep at it until we are successful. I don't see that as a cop out, I see it as the path to success, whatever it takes and despite the slings and arrows of those who aren't on board--yet!

[LymphocyteLover]

19. why not just a straight vote on it and get Senators on the record about it?

[Trust_Reality]

34. Yes, why not?

Tax changes are hidden among tons of paperwork, and lawyer/accountants find ways to work around it.

Put the minimum wage up for a vote, and scream like hell if Rs actually vote it down. A high percentage of the public favors it.

The problem with the filibuster is that Rs can hide behind a "procedural" vote. It's time to stop the games and start playing hardball.

I think one of the things people liked about the former guy is that he was action oriented - a "let's see you stop me" sort of guy. I'm afraid Dems need more of that.

[LymphocyteLover]

42. exactly -- all great points

[Demsrule86]

48. You need 60 votes to put it on the floor for a vote since it can't be done in reconciliation.

[Calista241]

22. Just to me, that doesn't sound like it'll pass the 'extraneous' standard required by the Byrd rule.

[DeminPennswoods]

44. It should what with it being a tax

nt

[George II]

27. So the Democratic Committee Chairman figured out a way to possibly get this passed.

[Kashkakat v.2.0]

28. SO split the difference - do $11 an hour now and come back for the $15 later.

There are people for whom another $4/hr would make ALL THE DIFFERENCE IN THE WORLD. Should apply to all workers not only federal! -

[SamsDrink]

32. We Elected Biden and then the Georgia Senators

To get this done. I don’t understand why Ron Klain caved and immediately took the VP’s ability to override the Parliamentarian’s decision off the table. Haven’t they learned anything in the last 13 years. That’s not how you negotiate with the GQP.

[videohead5]

36. Senators Manchin And Sinema

Will not vote for it and it would kill the whole stimulus bill. It's not the GOP the Dems are negotiating with.

[SamsDrink]

55. Don't Care, force those two to face their voters and have them explain

why they are opposed to constituents earning a working wage and not receiving the additional $1400 stimulus. This was a campaign promise.

[Demsrule86]

49. That would not work. Both Biden and Harris have said so.

[White Fox]

37. The Parliamentarian

is wrong. Plus they hold no power. Rolling over for this is anti-democratic.

[MichMan]

38. Why not leave it up to the individual states?

Blue states can pass $15- $20 per hour or more. Let those politicians running red states explain why they think $10 per hour is OK.

[Normanart]

50. Probably the best way

Let the states and cities set the minimum. Let the socially conscious corps, like Costco $16, attract workers from other companies. Use carrots, not sticks.

[former9thward]

53. The U.S. Constitution prevents that.

The federal government can set a minimum wage for all 50 states. States can go above that if they want but not below. There is nothing stopping any state, blue or not, from passing a minimum wage of $15-20 right now. That they have not should say something.

[MichMan]

56. The US Constitution prevents what?

I said "Blue states can pass $15- $20 per hour or more. Let those politicians running red states explain why they think $10 per hour is OK."

The current federal minimum wage is below $10

[Marthe48]

45. Why can't we just try a minimum wage?

And if it is such a burden for the mega-rich corporations, make adjustments.

I heard a headline today that U.S. personal wages increased. Because of the stimulus payments. How cheaply people are getting paid when $1400.00 for an individual jumps the personal income 10%!

[droidamus2]

51. Here's an idea

How about instead of totally exempting small mom & pop type places you just do the raise over a longer time lets say 10 years. As the jobs that take 5 years get to the end of the five tie wages to inflation or some other measure. Same with the 10 once they hit 10 tie to the measure. It probably takes longer than most people would like (doesn't have to be 10 years the idea is to make the change easier to take) but if the idea is to get everybody up to a certain wage.

[Steelrolled]

54. This kind of trickery is why we got such a complex tax code.

Why can't Congress pass a minimum wag bill in the normal way? If not enough Dems support it in the Senate, work on that problem rather than hacking the tax code.